Supply Network profit jumps 19% as dividend rises: FY26 results

Supply Network lifts profit, revenue, and its final dividend for FY26 as the group's Multispares network expands across Australia and New Zealand.

Yesterday, Supply Network Ltd (ASX: SNL) reported that, for the year ended 30 June 2026, revenue had increased 15.4% to $403.7 million, while net profit after tax was 19.0% higher at $47.6 million.

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What did Supply Network report?

  • Revenue rose 15.4% to $403.7 million.
  • Net profit after tax up 19.0% to $47.6 million.
  • Basic earnings per share of 109.0 cents, up from 92.9 cents last year.
  • Final fully franked dividend of 44.0 cents per share, taking total FY26 dividends to 80.0 cents (up 10.0 cents).
  • Net tangible asset backing per share increased to $3.67 (from $3.18).
  • EBITDA was $81.1 million (up 17.9%).

What else do investors need to know?

Supply Network, trading under the Multispares brand, saw strong growth across both Australia and New Zealand. Sales revenue in Australia grew by 17.2%, while New Zealand operations recorded a 12.2% uplift in local currency terms. Growth was "broadly based across geographies, customer segments, vehicle models and product groups."

The group completed major IT upgrades, including a new ERP system and sales interface, aiming for future productivity improvements. Investments were also made in New Zealand, with a new North Auckland branch and expanded Hamilton distribution centre, bringing the country's network closer in line with Australia.

On the safety front, the company reported tangible progress in reducing workplace risks, especially around manual handling and traffic management, supported by new warehouse systems and training.

What did Supply Network management say?

Managing Director Geoffrey David Huston Stewart commented:

Where there is disruption there is also opportunity and we are pleased to report that Multispares has continued adding new customers and expanding business with established customers throughout the second half. Furthermore, revenue growth remained broadly based across geographies, customer segments, vehicle models and product group.

What's next for Supply Network?

Looking ahead to FY2027, Supply Network is targeting another $50 million in revenue growth, supported by ongoing network expansion and system improvements. Major projects include footprint expansions in key Australian cities such as Eagle Farm, Canberra, Toowoomba, and Kwinana, as well as the development of a new branch in Sydney's Penrith region.

The company is also deepening integration between its Australian and New Zealand teams. With significant branch network growth in the pipeline and modernised IT systems, the board remains confident in the group's ability to tap new opportunities and deliver for shareholders.

Supply Network share price snapshot

Over the past 12 months, Supply Network shares have declined 16%, trailing the All Ordinaries Index (ASX: XAO), which has risen 1% over the same period.

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Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Supply Network Ltd. The Motley Fool Australia has recommended Supply Network Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.

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